Rents in Lagos and Abuja have surged by as much as 20 per cent annually in some areas, intensifying housing pressure on urban Nigerians, according to Dr. Waliu Adeoye, Managing Director of Stallion Cardinal Homes. The sharp increase, coupled with upfront payment demands of one to two years’ rent, has heightened affordability challenges for tenants across the two major cities.
Adeoye said Nigeria’s real estate sector stands at a pivotal moment in 2026, with a convergence of policy reforms—including new tax laws, land digitalisation programmes, mortgage recapitalisation, and housing data infrastructure—offering a rare opportunity to improve housing access if implemented effectively. However, he warned that systemic reform, rather than isolated company initiatives, is necessary to address structural issues.
The housing deficit, which has grown from about 17 million units a decade ago to an estimated 28 million today, remains Nigeria’s most pressing challenge. Adeoye highlighted land administration as the sector’s key constraint, noting that less than five per cent of land parcels are formally titled. The Land4Growth digital land titling programme, aiming to issue one million titles across 20 states in its first phase, could transform the market by providing secure tenure and collateral for lending.
On mortgage financing, Adeoye said Nigeria’s mortgage-to-GDP ratio of just 0.5 per cent underscores the depth of the problem. Despite initiatives such as the Federal Mortgage Bank’s National Housing Fund and the Ministry of Finance Incorporated Real Estate Investment Fund, access remains limited, particularly for informal workers who lack payslips or formal documentation. He stressed that tax incentives alone cannot resolve structural constraints in the housing market.
While supporting tenant protections, Adeoye cautioned against overly restrictive rental controls that could reduce housing supply. He advocated for standardised lease agreements, dispute resolution mechanisms, and long-term rental incentives to encourage affordable housing development, emphasising that political commitment and effective implementation are critical to turning policy announcements into tangible homes for Nigerians.
